N.Y. Comp. Codes R. & Regs. tit. 10 § 760.15

Current through Register Vol. 46, No. 45, November 2, 2024

Section 760.15 - Acquisition of control of the operator of an agency

This section relates to changes in the control of an operator of a certified home health agency not covered in section 760.13 or 760.14 of this Part. Changes covered in section 760.13 or 760.14 of this Part shall require the prior approval of the Public Health Council.

(a)

(1) Any change in the controlling person(s) of the operator of a not-for-profit or proprietary certified home health agency other than a change subject to prior approval pursuant to section 760.13 or 760.14 of this Part, shall be subject to the approval of the Public Health Council in accordance with the applicable requirements of article 36 of the Public Health Law and this Part. A person seeking approval as a controlling person of the operator of a certified home health agency shall file an application for Public Health Council approval within 30 days of becoming a controlling person in accordance with the applicable requirements of this Part.

(2) Pending a decision by the Public Health Council, an applicant shall refrain from exercising control over the certified home health agency by directing or causing the direction of the actions, management or policies of the agency whether through voting securities or voting rights thereunder, electing or appointing directors, the direct or indirect determination of policies, or otherwise. The applicant shall submit, as part of the application, an affidavit whereby the applicant affirms that it will not exercise control over the agency pending a decision by the council.

(b) If the Public Health Council disapproves an application to become a controlling person under subdivision (a) of this section, the applicant shall divest himself of the controlling interest over the operator of the certified home health agency within 30 days of the council's final decision.

(c) Notwithstanding any other provision of this section, the prior approval of the Public Health Council must be obtained, pursuant to the applicable requirements of article 36 of the Public Health Law and this Part, if a person who proposes to become a controlling person of the operator of a certified home health agency is not able to refrain from exercising control over the agency upon becoming a controlling person as required by subdivision (a) of this section.

(d)

(1) Upon request of an applicant under this section, the commissioner, on behalf of the Public Health Council, may issue a determination that the taking of some control action or proposed control action by the applicant does not constitute the applicant becoming a controlling person of the operator of a certified home health agency as contemplated by this Part and that Public Health Council approval is not required.

(2) The commissioner may revoke or modify his determination that an applicant is not or will not become a controlling person when, based on additional information or documentation not provided to the commissioner at the time of his initial determination, it is found that the applicant will exercise or has exercised control over the operator of a certified home health agency to the extent of directing or causing the direction of the actions, management or policies of the operator of such agency.

(3) When the commissioner determines that a person will exercise or is exercising control over an operator of a certified home health agency as a controlling person, such person shall refrain from exercising or continuing to exercise such control until Public Health Council approval is obtained.

N.Y. Comp. Codes R. & Regs. Tit. 10 § 760.15